Who is required to file an annual report with the Division of Banking and pay an annual assessment?
ALL licensees are required to file an annual report. Licensees must file an annual report even if your license was surrendered in 2007 or in 2008. Licensees must also file an annual report if zero business was conducted in New Jersey during 2007.
How is the assessment bill for each licensee determined?
The new law and corresponding regulations provide detailed information on the formula for determining how your bill is calculated. In brief, your bill is based on a combination of two factors: 1) a minimum assessment charged to each licensee, based on the type of license and 2) a calculation of the percentage of your business volume as a percent of total business volume in New Jersey for all licensees.
What is the deadline for filing an annual report?
The deadline for filing an annual report is April 1st of each year if the licensee is filing the report electronically over the Internet through the State's secure web site.
Why is an annual report required to be filed?
The annual report is the sole source of information used in determining annual business volume for each licensee and ultimately what each licensee must pay in its annual assessment to the Division of Banking. The annual report filings will also continue to provide the Division of Banking with important information relative to the regulatory guidelines of licensees.
Is filing an annual report a new requirement?
This is not a new requirement. In 2007, all licensees were required to file an online annual report detailing various elements of their 2006 NJ-based business volume as an essential component of the annual assessment process. Likewise, in 2008, all licensees will file an online annual report which will capture various elements of their 2007 NJ-based business activity. All online annual reports are due April 1, 2008.
Is there a fee for filing the annual report?
There is no fee for filing the annual report.
What if I cannot file my annual report electronically?
All annual report filings should be filed electronically. If you cannot file your annual report electronically, then you must file a “hardcopy request form” - this form can be obtained by calling Al Dillione at 609-292-7272 ext. 50436.
Once the Division of Banking receives your request form, it will be processed and a hardcopy annual report form will be sent to you. The hardcopy annual reporting deadline is March 1, 2008. The earlier deadline for hardcopy filings is required to permit time for the Department to manually input your annual report information into the computer database.
How does the new law affect licensees?
Effective July 1, 2006, a new law changes the way in which the Division of Banking within the New Jersey Department of Banking and Insurance is funded. One of the main benefits of the new law is the elimination of most fees currently paid by licensees.
Instead of paying the various fees that have been associated with licensure, ALL licensees will now pay a yearly assessment. The assessment will be the method by which the Department recovers its operating expenses for its previous fiscal year. All licensees will be required to file annual reports that will provide the Department with information needed to properly calculate each licensee's share of the Banking Division's total operating expenses. This share of assessment is determined by looking at each licensee's annual business in proportion to the total annual volume for all licensees.
What fees will be eliminated as a result of the new law?
- Initial license fees
- License renewal fees
- Address change fees
- Name change fees
- Change of control fees
- License conversion fees
- Inactivation fees for individual licensed lenders
- Duplicate license fees
- Examination fees
- Annual report filing fees
What fees will exist under the new law?
- Non-refundable license application fees for ALL initial licenses – business entities, branch offices, licensed lender individuals, home repair salespersons will be required
- Non-refundable registration application fees for ALL new mortgage solicitors
- Non-refundable re-registration application fees for mortgage solicitors changing employing licensed lenders
- All fines and penalties
Is there a penalty for filing the annual report late?
If the filing of the annual report is late, you may be subject to a late penalty of $50 for each day the annual report filing is late. The Division of Banking MUST have report information on ALL licensees in order to properly assess and bill all licensees. Therefore, the Division may act to suspend or revoke the license(s) of a licensee that continues to fail to file its required report.
When will I pay the annual assessment?
All licensees will annually receive a bill in mid-September. Payment of the bill is due to the State within 30 days of mailing of the bill.
What happens if I don't pay my assessment bill on time?
If the Department does not receive payment from you within 30 days of mailing of the bill, you will face penalties of $150 per day late up to 20 percent of the amount billed and are immediately subject to suspension or loss of license. |
